Solvay Recovers In 1994

The Belgian chemical and pharmaceutical group Solvay said its recovery in 1994 was fast and strong, as it had predicted (Marketletter February 20), and that prospects for 1995 are even better. Net consolidated profits were marginally under 8 billion Belgian francs ($281.6 million), after a loss of 6.9 billion francs in 1993. Current profits were 6.9 billion francs, compared with a loss of 4 billion francs in 1993. Earnings per share were 923 francs. In 1993, the loss per share was 864 francs. Sales were ahead 7% at 262.2 billion francs.

Solvay's health sector achieved sales of 43.3 billion francs, ahead 2.4%. Earnings before tax, interest and non-allocated items were 3.24 billion francs, up 21.3%. The overall cost reduction in pharmaceutical subsidiaries was said to have allowed a significant improvement in margins. Solvay is optimistic about sales prospects in 1995 for its selective seretonin reuptake inhibitor Luvox (fluvoxamine; Marketletters passim).